The Ornua PPI (Purchase Price Index) has risen for the month of June, driven by “generally stronger returns” across the product range, the Irish dairy exporter has confirmed.
In a brief statement to Agriland this morning (Wednesday, July 7), about the Ornua PPI, a spokesperson for Ornua said:
“The Ornua Purchase Price Index for the month of June is 119.9 and is up from 116.8 in the previous month.”
This converts to 35.9c/L, including VAT, based on Ornua’s product purchase mix and assumed member processing costs of 7c/L and excluding member margin.
The Ornua representative continued, adding:
“The increase is driven by generally stronger returns across the product range.
“In addition, the ‘Ornua Value Payment’ payable to members in the month is €9.67 million, which equated to 5.1% of gross purchases in the month (year to date 5.6%).”
Meanwhile, earlier this week the Global Dairy Trade (GDT) index recorded a slight drop to mark six consecutive decreases over the last three months in its latest auction.
The most recent tender – event 287 – concluded yesterday (Tuesday, July 6) with the GDT Price Index down 3.6%.
Lasting one hour and 47 minutes, yesterday’s event saw 176 participating bidders take part across 12 bidding rounds, with 128 winning bidders emerging.
A total of 24,278MT of product was sold on the day.
Butter milk powder (BMP) saw the most dramatic decrease on the day, tumbling by 9.8%. Cheddar too, saw a sharp decline of 9.2% while skim milk powder (SMP) dropped by 7.0% in index.
The butter index decreased by 3.2% while whole milk powder (WMP) dropped 3% in index.